Meta Description: Tesla surpasses Q3 2024 earnings forecasts, reporting $2.17B net income and 19.8% gross margin, despite production delays and market competition.
Tesla’s Q3 2024 Earnings Beat Expectations Amid Production Challenges
Date and Time: Monday, April 21, 2025, 09:17 AM EDT
Editorial Log: This article compiles the latest developments affecting Tesla Inc. (TSLA), including stock performance, analyst insights, and market dynamics. Data has been cross-verified with multiple reputable sources to ensure accuracy.
Strong Financial Performance in Q3 2024
Tesla reported a net income of $2.17 billion for Q3 2024, with earnings per share of $0.72, surpassing Wall Street expectations. The company’s gross margin improved to 19.8%, up from 17.9% in the previous year, indicating enhanced cost efficiencies.
Production and Delivery Updates
Despite strong financials, Tesla faced production challenges. The company scaled back Cybertruck production, reallocating staff from the Cybertruck line to the Model Y line at its Texas Gigafactory. This decision follows a broader trend of declining Tesla sales, with first-quarter 2025 deliveries falling 13% year-over-year.
Additionally, Tesla delayed the U.S. launch of a more affordable version of its Model Y, initially promised for early 2025. Production is now expected between Q3 2025 and early 2026.
Analyst Perspectives
Analysts have responded positively to Tesla’s performance and outlook. Wedbush maintained its “Outperform” rating and $300 price target, praising the company’s “Aaron Judge-like performance.” Bank of America raised its price target to $265 from $255, citing Tesla’s readiness for the next wave of growth.
Future Outlook
Looking ahead, Tesla aims to produce a lower-cost, under $30,000 vehicle focused on autonomous driving by 2025. The company also plans to ramp up Cybercab production to 2 million units annually by 2026.
However, Tesla faces challenges, including increased competition in the electric vehicle market and potential impacts from trade policies. Analysts caution that delivering on the ambitious 2025 projections will require navigating these hurdles effectively.
Further Reading:
Tesla Releases Third Quarter 2024 Financial Results Tesla drops Cybertruck production targets and moves some workers off the line Tesla to delay US launch of affordable EV, a lower-cost Model Y, sources say
Keyword List:
Tesla Q3 2024 earnings Tesla net income Tesla gross margin Cybertruck production Model Y delay Tesla stock performance Tesla 2025 projections Tesla autonomous vehicle Tesla Cybercab Electric vehicle market competition
